Legislature(1999 - 2000)

03/17/1999 09:04 AM Senate FIN

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
MINUTES                                                                                                                         
SENATE FINANCE COMMITTEE                                                                                                        
March 17, 1999                                                                                                                  
9:04 AM                                                                                                                         
                                                                                                                                
TAPES                                                                                                                           
                                                                                                                                
SFC-99 # 57, Side A                                                                                                             
                                                                                                                                
CALL TO ORDER                                                                                                                   
                                                                                                                                
Co-Chair John Torgerson convened the meeting at                                                                                 
approximately 9:04 AM.                                                                                                          
                                                                                                                                
PRESENT                                                                                                                         
                                                                                                                                
Senator John Torgerson, Senator Loren Leman, Senator Gary                                                                       
Wilken, Senator Al Adams, Senator Lyda Green and Senator                                                                        
Dave Donley were present when the meeting convened.                                                                             
Senator Randy Phillips arrived shortly thereafter.                                                                              
                                                                                                                                
Also Attending:                                                                                                                 
                                                                                                                                
CATHERINE REARDON, Director, Division of Occupational                                                                           
Licensing, Department of Commerce and Economic Development;                                                                     
GEORGE BUHITE, Administrator, Youth Corrections, Division                                                                       
of Family and Youth Services, Department of Health and                                                                          
Social Services; JOHN CRY, President, National Education                                                                        
Association - Alaska (NEA-AK).                                                                                                  
                                                                                                                                
                                                                                                                                
SUMMARY INFORMATION                                                                                                             
                                                                                                                                
                                                                                                                                
SB  27-ACCESS TO DRIVING/SCHOOL RECORDS OF CHILD                                                                                
                                                                                                                                
Amendment #1 was withdrawn.  Amendment #2 was amended                                                                           
technically and adopted without objection.  The committee                                                                       
heard testimony from the National Education Association and                                                                     
the Division of Family and Youth Services. The bill moved                                                                       
from committee.                                                                                                                 
                                                                                                                                
SB  51-LICENSING OF COSMETOLOGISTS                                                                                              
                                                                                                                                
The committee took testimony from the sponsor and the                                                                           
Division of Occupational Licensing. Amendment #1 was                                                                            
adopted without objection.  The bill was held in committee.                                                                     
                                                                                                                                
HB  77-JOINT ARMED SERVICES COMMITTEE                                                                                           
SB  55-JOINT ARMED SERVICES COMMITTEE                                                                                           
                                                                                                                                
The committee took testimony from the sponsor of the House                                                                      
bill and the sponsor of the Senate companion bill.  HB 77                                                                       
moved out of committee.                                                                                                         
                                                                                                                                
                                                                                                                                
CS FOR SENATE BILL NO. 27(HES)                                                                                                  
"An Act relating to school records and driver license                                                                           
records of certain children."                                                                                                   
                                                                                                                                
                                                                                                                                
This was the second hearing for this bill. Co-Chair John                                                                        
Torgerson explained that a motion was on the table to adopt                                                                     
Amendment #1, offered by Senator Gary Wilken. No objection                                                                      
had been spoken.                                                                                                                
                                                                                                                                
Senator Gary Wilken moved to remove Amendment #1 and to                                                                         
adopt Amendment #2.  Co-Chair John Torgerson explained that                                                                     
Amendment #2 was the same language that addressed a                                                                             
different section of statute.  Amendment #1 would have                                                                          
amended the section within the Division of Family and Youth                                                                     
Services and would have required the division to release                                                                        
the records as opposed to the school districts.  Amendment                                                                      
school districts.                                                                                                               
                                                                                                                                
Senator Al Adams requested a member of the Department of                                                                        
Education to come forward to address the amendment.  There                                                                      
was no one present representing the department.                                                                                 
                                                                                                                                
JOHN CYR, President, NEA Alaska testified in favor of                                                                           
Amendment #2. He said it filled a gap that had been mission                                                                     
for a long time.  Particularly in urban areas of the state,                                                                     
there were students who transferred from one school                                                                             
district to another after getting in trouble in the first                                                                       
school.  Currently, there was no way to track those                                                                             
students with serious records. He said the NEA was in favor                                                                     
of both the bill and the amendment.                                                                                             
                                                                                                                                
He had a question on Section 1, page 1 line 5 referring to                                                                      
the parent or guardian. He wanted clarification whether                                                                         
that parent meant the custodial parent.  If it didn't he                                                                        
said problems could arise because of some parents who were                                                                      
prohibited from interaction with their children.  Schools                                                                       
needed to be careful not to allow these parents access to                                                                       
the children.                                                                                                                   
                                                                                                                                
Senator Loren Leman responded that he had spoke in the                                                                          
previous meeting about AS 25.20.130. It contained a                                                                             
provision ruling that a parent who did not have custody had                                                                     
the same rights to access of the medical, dental, school                                                                        
and other records of the child, as set out in the law. This                                                                     
bill did not propose to change that.                                                                                            
                                                                                                                                
GEORGE BUHITE, Youth Corrections Administrator, Division of                                                                     
Family and Youth Services, Department of Health and Social                                                                      
Services, testified in favor of Amendment #2.  He said it                                                                       
addressed the division's concerns with school safety.                                                                           
[Remainder of comments inaudible.]                                                                                              
                                                                                                                                
Senator Gary Wilken moved to amend Amendment #2 to replace                                                                      
the word, "bull" with the word, "bill" on line 17.  This                                                                        
was a technical amendment.  There was no objection and the                                                                      
amendment to Amendment #2 was adopted.                                                                                          
                                                                                                                                
Senator Loren Leman noted the title might be adequate as it                                                                     
was but noted that with the adoption of Amendment #2, a                                                                         
title change might be needed.  He proposed a conceptual                                                                         
technical amendment for a title change if it were deemed                                                                        
necessary.  Co-Chair John Torgerson said the amendment had                                                                      
been drafted by the Legal Services Division. He made a                                                                          
friendly amendment to Amendment #2 to allow the bill                                                                            
drafters to incorporate a title change if necessary.                                                                            
                                                                                                                                
Amendment #2 as amended was adopted without objection.                                                                          
                                                                                                                                
Senator Loren Leman offered a motion to move CS SB 27 (HSS)                                                                     
as amended from committee.  There was no objection, and it                                                                      
was so ordered.                                                                                                                 
                                                                                                                                
                                                                                                                                
CS FOR SENATE BILL NO. 51(L&C)                                                                                                  
"An Act relating to barbers, hairdressers,                                                                                      
manicurists, and cosmetologists; providing that the                                                                             
only qualification necessary for licensure as a                                                                                 
manicurist, other than payment of fees, is completion                                                                           
of a class that is 12 hours in duration, addresses                                                                              
relevant health, safety, and hygiene concerns, and is                                                                           
offered through a school approved by the Board of                                                                               
Barbers and Hairdressers; and providing for an                                                                                  
effective date."                                                                                                                
                                                                                                                                
                                                                                                                                
DOUG SALICK, committee aide for the Senate Community and                                                                        
Regional Affairs Committee and staff to Senator Tim Kelly,                                                                      
testified to the bill.  The bill would change the word                                                                          
"cosmetology" to "esthetics" to comply with other states                                                                        
and apply to a broader range of services.                                                                                       
                                                                                                                                
Additionally, it would create a new license for manicurists                                                                     
and dictate the training they must undergo.  It also                                                                            
created a new instructor's license that would cover                                                                             
practitioners as well as instructors, thus allowing an                                                                          
instructor to practice as well as teach simultaneously.  It                                                                     
set new guidelines for those who practice in other states                                                                       
and wished to practice temporarily in Alaska.  Finally, it                                                                      
also removed the shaving requirement from the statutes                                                                          
since it was no longer taught.                                                                                                  
                                                                                                                                
He noted that a Board of Cosmetology member was planning to                                                                     
testify via teleconference from Anchorage, but was not yet                                                                      
at the LIO.                                                                                                                     
                                                                                                                                
Senator Randy Phillips asked about the Department of                                                                            
Environmental Conservation fiscal note for $3800 to cover                                                                       
publications and wanted to know if the funds would come                                                                         
from the licensees or from the general fund.                                                                                    
                                                                                                                                
CATHERINE REARDON, Director, Division of Occupational                                                                           
Licensing, Department of Commerce and Economic Development,                                                                     
came to the table to address the fiscal note question. She                                                                      
believed that the fiscal note would not be covered by                                                                           
license fees and would need to be covered with general                                                                          
funds.  Department of Environmental Conservation currently                                                                      
had responsibility to do health inspections for other                                                                           
licensed professions and was not covered by license fees.                                                                       
                                                                                                                                
Co-Chair John Torgerson asked if it was normal practice in                                                                      
regulations for the costs to be passed on to the licensees.                                                                     
Katherine Reardon replied that by statute, all the costs of                                                                     
the regulation of the profession must be covered by license                                                                     
fees. However, those costs were generally thought to be                                                                         
those incurred by the Department of Commerce and Economic                                                                       
Development to run the licensing program.  She suggested                                                                        
that the funds could be RSA'ed to the Department of                                                                             
Environmental Conservation to cover inspection costs.                                                                           
Currently, funds were RSA'ed to the Department of Labor for                                                                     
enforcement of contractor's licenses.                                                                                           
                                                                                                                                
Co-Chair John Torgerson clarified that to do so, the                                                                            
committee would increase the Department of Commerce and                                                                         
Economic Development fiscal note from 16.4 to include the                                                                       
3.8.  Catherine Reardon answered that was correct and                                                                           
continued that an indication would be made on the fiscal                                                                        
note stating the intention that the funds be RSA'ed to the                                                                      
Department of Environmental Conservation.                                                                                       
                                                                                                                                
Senator Randy Phillips commented that he wished a                                                                               
representative of the Department of Environmental                                                                               
Conservation were present to answer questions.                                                                                  
                                                                                                                                
Senator Randy Phillips moved to amend the fiscal notes to                                                                       
incorporate the $3800 amount from the Department of                                                                             
Environmental Conservation into the Department of Commerce                                                                      
and Economic Development fiscal note as interagency                                                                             
receipts with the possibility to RSA the funds to the                                                                           
Department of Environmental Conservation.                                                                                       
                                                                                                                                
Co-Chair John Torgerson clarified that there would still be                                                                     
a need for a 3.8 Department of Environmental Conservation                                                                       
fiscal note. It would just be shown as interagency                                                                              
receipts.                                                                                                                       
                                                                                                                                
Senator Lyda Green referred to the fiscal note comments on                                                                      
the number of manicurists and wondered about the "thousands                                                                     
of businesses."  Catherine Reardon doubted there would be                                                                       
thousands.  Senator Lyda Green felt that number was high                                                                        
and should be adjusted downward.                                                                                                
                                                                                                                                
Co-Chair John Torgerson named the fiscal note motion                                                                            
Amendment #1 and it was adopted without objection.                                                                              
                                                                                                                                
Senator Loren Leman had a question on inspections. He                                                                           
referred to testimony from Catherine Reardon in the Senate                                                                      
Labor and Commerce Committee that the bill would require                                                                        
the Department of Environmental Conservation to inspect the                                                                     
business when it first opened, but upon transfer, no                                                                            
inspection was required. He wanted to know if that was what                                                                     
actually was taking place. Catherine Reardon answered that                                                                      
it was and that current statute dictated the amount of                                                                          
times the Department of Environmental Conservation was to                                                                       
perform inspections. She added that in situations where the                                                                     
Department of Environmental Conservation had limited                                                                            
resources they were to reduce the number of inspections and                                                                     
only respond if they received a complaint.                                                                                      
                                                                                                                                
Senator Loren Leman pointed out that the title of the bill                                                                      
used the term "esthetics" but the first line of the bill                                                                        
used "cosmetologist".  If it was the intent to change the                                                                       
term, he felt it needed to be consistent throughout the                                                                         
bill. Co-Chair John Torgerson said he would check with the                                                                      
drafters and that the desire for consistency seemed                                                                             
reasonable.                                                                                                                     
                                                                                                                                
There was discussion about the testifier who was not                                                                            
present. Doug Salick told the committee she wished to speak                                                                     
about the length of training required for manicurists, and                                                                      
that she felt it should be more than 12 hours.                                                                                  
                                                                                                                                
Co-Chair John Torgerson ordered bill moved to bottom of                                                                         
calendar to wait for the testifier to get to the Anchorage                                                                      
LIO.                                                                                                                            
                                                                                                                                
                                                                                                                                
CS FOR HOUSE BILL NO. 77(FIN)                                                                                                   
"An Act relating to the Joint Armed Services                                                                                    
Committee, a permanent interim committee of the Alaska                                                                          
State Legislature; and providing for an effective                                                                               
date."                                                                                                                          
                                                                                                                                
SENATE BILL NO. 55                                                                                                              
"An Act relating to the Joint Armed Services                                                                                    
Committee, a permanent interim committee of the Alaska                                                                          
State Legislature; and providing for an effective                                                                               
date."                                                                                                                          
                                                                                                                                
                                                                                                                                
Co-Chair John Torgerson noted the committee had an earlier                                                                      
hearing on SB 55.  Since that meeting, the house bill was                                                                       
referred to the committee and would be the focus of this                                                                        
hearing.                                                                                                                        
                                                                                                                                
CASEY SULLIVAN, aide to Representative Lisa Murkowski,                                                                          
testified to the House bill.  He said Alaska was being                                                                          
considered for the site of a National Missile Ballistic                                                                         
Defense System.  The Pentagon and the Secretary of Defense                                                                      
recently stated that another round of Base Realignments and                                                                     
Closures were forthcoming.  Because of those challenges,                                                                        
Representative Lisa Murkowski introduced HB 77.                                                                                 
                                                                                                                                
HB 77 would replace the existing Joint Committee on                                                                             
Military Bases in Alaska with the Joint Armed Services                                                                          
Committee and would have a longer existence than called for                                                                     
in the Uniform Rules, thus requiring a change in statute.                                                                       
The committee would be activated on July 1, 1999 and the                                                                        
Legislative Council would provide administrative and other                                                                      
services to the committee.                                                                                                      
                                                                                                                                
He continued saying that this committee would provide a                                                                         
unified front by the House, Senate, Military and Civilian                                                                       
members to monitor timely military topics relative to                                                                           
Alaska.                                                                                                                         
                                                                                                                                
Alaska was in the crux of two swaying forces with regard to                                                                     
its military - the potential creation of new sites for a                                                                        
National Ballistic Missile Defense System and possible                                                                          
consolidation of existing military operations.  These                                                                           
events would require considerable and constant attention.                                                                       
With the military accounting for approximately $1.7 billion                                                                     
of Alaska's economy, it was imperative that the Legislature                                                                     
take a leading role to monitor the economic impact of                                                                           
future military related events.  The Joint Armed Services                                                                       
Committee would provide that focus, summarized Casey                                                                            
Sullivan.                                                                                                                       
                                                                                                                                
Senator Loren Leman noticed a couple differences between                                                                        
the House and Senate bills.  One was the transition clause                                                                      
contained in Section 3 of SB 55 but not included in HB 77.                                                                      
The other was the first listed power and duty, which was to                                                                     
review and encourage state policy regarding the National                                                                        
Guard.                                                                                                                          
                                                                                                                                
Casey Sullivan addressed the second difference. Page 4                                                                          
lines 19 and 20 of the Senate bill discussed the reviewing                                                                      
policy.  This was removed in the House because it was felt                                                                      
it would be a duplication of services.                                                                                          
                                                                                                                                
He then explained the reason for change in the transition                                                                       
language in Section 3.  [Inaudible]                                                                                             
                                                                                                                                
He noted that a sunset was also added to both versions.                                                                         
                                                                                                                                
CHRIS NELSON, staff to Senator Tim Kelly, sponsor of SB 55,                                                                     
testified that they had reviewed the House version of the                                                                       
bill and concurred with its content.  He felt the sunset                                                                        
clause was not necessary but that future Legislators would                                                                      
chose to extend it.                                                                                                             
                                                                                                                                
Regarding the transition there was considerable discussion                                                                      
in the House.  He concurred with the language in the House                                                                      
bill because it was important to have the historical                                                                            
knowledge.                                                                                                                      
                                                                                                                                
Co-Chair John Torgerson brought the committee's attention                                                                       
to the Legislative Council's zero fiscal note.  Senator                                                                         
Lyda Green had a problem with the source of funding on this                                                                     
bill and felt that it should stand on its own rather than                                                                       
contained in the council's operating budget.  Co-Chair John                                                                     
Torgerson did not disagree but said that the Legislature                                                                        
had the request before them in the legislative operating                                                                        
budget.  There would be two opportunities for discussion on                                                                     
the funding.                                                                                                                    
                                                                                                                                
Senator Al Adams noted that the $18,000 would be debated in                                                                     
subcommittee as part of the Legislative operating budget.                                                                       
Co-Chair John Torgerson agreed and said that if it fell out                                                                     
during the budget debates there would be no funding for the                                                                     
program.                                                                                                                        
                                                                                                                                
Senator Gary Wilken offered a motion to move CS HB 77 (FIN)                                                                     
from committee.  Without objection it was so ordered.                                                                           
                                                                                                                                
                                                                                                                                
SB  51-LICENSING OF COSMETOLOGISTS                                                                                              
                                                                                                                                
Co-Chair John Torgerson brought this bill back to the                                                                           
table. It was noted that the Anchorage participant had not                                                                      
yet arrived at the LIO.                                                                                                         
                                                                                                                                
Co-Chair John Torgerson asked for comment on the argument                                                                       
that 12 hours of training for manicurist certification                                                                          
would not be adequate.  Catherine Reardon began by                                                                              
informing the committee that she performed two roles, one                                                                       
was with the Board of Cosmetology and the other was as a                                                                        
staff member of the Department of Commerce and Economic                                                                         
Development.  She said that the board would meet next week,                                                                     
discuss the matter and possibly decide that more training                                                                       
was appropriate.                                                                                                                
                                                                                                                                
Speaking from the department, she felt the number of hours                                                                      
was arbitrary.  She had worked with the sponsor to reach                                                                        
the 12-hour requirement. She had concerns about people                                                                          
needing to close their business to fly to area were                                                                             
training was available and advised that this could be cost                                                                      
prohibitive to some businesses.  She did research and found                                                                     
a school that offered a training course at a cost of $3000                                                                      
and took three months to complete.  She felt that someone                                                                       
in Ketchikan would be unable to afford to do that.                                                                              
                                                                                                                                
Senator Al Adams asked for comparison of training                                                                               
requirements in other states. Catherine Reardon referred to                                                                     
a handout.                                                                                                                      
                                                                                                                                
Co-Chair John Torgerson clarified that the Board of                                                                             
Cosmetology would meet the following Monday.  He ordered                                                                        
the bill held in committee to allow the board to put their                                                                      
comments on record. Co-Chair John Torgerson said the bill                                                                       
would probably be brought back up next Thursday.                                                                                
                                                                                                                                
                                                                                                                                
Co-Chair John Torgerson announced the next day's schedule.                                                                      
He anticipated there would be a CS for SB 101.  Also the                                                                        
schedule would include SB 11 and SB 24.                                                                                         
                                                                                                                                
It was noted that Senator Gary Wilken, Senator Al Adams and                                                                     
Senator Dave Donley would not be present on Friday.  Co-                                                                        
Chair John Torgerson said there would probably not be a                                                                         
meeting on Friday.                                                                                                              
                                                                                                                                
ADJOURNED                                                                                                                       
                                                                                                                                
Senator Torgerson adjourned the meeting at 9:41 AM.                                                                             
                                                                                                                                
SFC-99 (9) 3/17/99                                                                                                              

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